Aya Electric Inc. and Owner Fined for Electrical Permits Fraud in Southern Ontario

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Aya Electric Inc. and its owner Razi Khan have been fined a total of $122,000 for engaging in a permits-for-sale scheme that allowed unlicensed electrical work in southern Ontario homes, highlighting significant regulatory breaches in electrical safety.

In a significant legal ruling, Aya Electric Inc. and its owner, Razi Khan, have been convicted for their roles in a fraudulent scheme involving the sale of electrical permits that facilitated unlicensed electrical work across southern Ontario. The Electrical Safety Authority (ESA) announced that the firm and Khan were imposed fines totaling $122,000 under the Electricity Act, 1998, following an extensive investigation. The ESA's inquiry revealed that Aya Electric had entered into a paid arrangement whereby it obtained electrical permits for work executed by an unlicensed contractor.
The investigation by the ESA uncovered that Aya Electric had secured permits for electrical tasks at six residential properties located in Clarington, Brantford, Milton, and Markham. Khan was reported to have collected payments for these permits while the actual electrical work was conducted by a contractor who lacked the necessary licensing and qualifications. The ESA's release noted that this individual was neither an employee of Aya Electric nor insured, and he worked without any oversight from either the company or Khan himself.
In September 2026, both Aya Electric and Khan pleaded guilty to violations of the Electricity Act, 1998. The court imposed a fine of $92,000 on Aya Electric and an additional $30,000 fine on Khan, who was also placed on probation. The Ontario Court of Justice characterized Khan’s actions as “deceptive and bordering on fraud,” emphasizing that he charged over twice the standard cost of an ESA permit for these transactions.
The court also highlighted the severe risks associated with such offenses, including the potential for catastrophic outcomes like fires or loss of life, underscoring the necessity of imposing strict penalties. Emily Larose, the ESA's vice-president of regulatory and general counsel, remarked on the implications of using a licensed business to procure permits for unlicensed work, stating that it undermines the essential safety measures in place to protect the public.
Larose reiterated the ESA's commitment to ensuring that licensed contractors adhere to their responsibilities, noting that violations will prompt regulatory action. The fines imposed serve as a stern warning against profiting from arrangements that jeopardize public safety. Furthermore, investigators from the ESA reported having witnessed Khan engaged in electrical work at a seventh property in Brantford, this time alongside two unlicensed contractors, without obtaining any permits from the ESA for that job.
As the designated master electrician for Aya Electric, Khan held the legal responsibility for planning and supervising all electrical work conducted on the company’s behalf. In Ontario, regulations strictly state that only Licensed Electrical Contractors are authorized to perform electrical work within residential and commercial properties. The ESA encourages anyone suspecting unlicensed electrical work or observing Licensed Electrical Contractors failing to fulfill their obligations to report such concerns promptly.

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